2.1. Green Marketing

According to ^{Jabeen et al. (2023}), “green marketing” emerged in the 1970s as an approach to meeting human needs and desires with minimal environmental impact. The growing consumer demand for eco-friendly and responsible alternatives also played a significant role (^{Cidón et al., 2021}). The American Marketing Association introduced the term during a workshop addressing the impact of marketing on the environment (^{Vangeli et al., 2023}).

Green marketing is directed towards environmentally conscious consumers, tackling market-induced environmental issues. It involves the development and promotion of products that adhere to “environmental performance” principles and exhibit positive environmental attributes (^{Lee et al., 2023}). ^{Jabeen et al. (2023}) characterise “green marketing” as a comprehensive and responsible process designed to satisfy customers and society profitably and sustainably.

In other words, green marketing is a strategy that seeks to balance consumption and minimal impact on the environment by offering products with sustainable characteristics throughout the entire life cycle, from production to disposal (^{Pancić et al., 2023}). This term has become popular with society’s growing environmental concern and the need for companies to communicate their environmental performance through their websites, packaging, products, social media and other channels (^{Alkhatib et al., 2023}; ^{Liu et al., 2023}).

However, a common misconception has emerged, where many now associate green marketing solely with advertising products that incorporate environmental attributes. Consumers tend to link terms like “recyclable”, “reusable”, “ozone layer friendly”, and “environmentally friendly” with the concept of “green marketing” (^{Mehraj et al., 2023}). This perception persists because consumers face challenges in differentiating deceptive strategies from genuine initiatives adhering to environmental standards. Simultaneously, there is lingering uncertainty about whether individual actions can effectively contribute to the rational and sustainable use of environmental resources (^{Pancić et al., 2023}).

According to ^{Schreiber et al. (2023}), most people would like to consume environmentally friendly products from sustainable companies. To address this consumer demand, it becomes imperative to develop more sustainable marketing strategies despite the challenges posed by the widespread lack of understanding of the term “sustainability” and doubt about the companies’ ability to improve their behaviour. ^{Cidón et al. (2021}) emphasise the need for transparent and truthful relationships, marked by clear, coherent, and honest communication from companies identifying themselves as sustainable. The public is more influenced by practical actions that demonstrate the eco-efficiency of processes and products rather than being swayed by the appearance of ecological packaging.

Nevertheless, not all criteria are consistently fulfilled. ^{Alkhatib et al. (2023}) highlight that consumers may be confused by ill-founded claims, making it challenging to assess the level of commitment from brands. In Brazil, many companies face problems with organisations such as CONAR, for example, for running ecological campaigns without tangible evidence to substantiate their claims in practice (^{Schreiber et al., 2022}).

CONAR outlines four principles to be adhered to due to the increasing use of environmental information and indications in advertising: (a) veracity: the environmental information must be true and verifiable; (b) accuracy: the environmental information must be exact and precise, with no room for generic or vague information; (c) suitability: the environmental information provided must be related to the production and marketing processes of the advertised products and services; and (d) relevance: the highlighted environmental advantage must be significant concerning the overall impact of the product and service on the environment throughout its life cycle, encompassing its production, use and disposal (^{Conselho Nacional de Autorregulamentação Publicitária, 1978}).

Nonetheless, a routine visit to the local supermarket may reveal numerous products from various brands, all claiming to be “greener” than their competitors. The question arises: are they really contributing to a better, more sustainable world? Is it possible to gauge the authenticity and effectiveness of such claims? This lack of accessibility and clarity is indicative of greenwashing, a topic explored in the subsequent section.

2.2. Greenwashing

Greenwashing is a deceptive tactic derived from green marketing, aiming to create the illusion that a particular company prioritises environmental concerns when, in reality, it does not. This strategy has adverse consequences for the environment (^{Ferreira et al., 2019}). It undermines the trust of environmentally conscious consumers, who, as the most vulnerable party in consumer relations, are willing to pay more for products from companies that are only concerned with selling and making a profit (^{Maia, 2019}).

^{TerraChoice (2010}) highlighted the “seven sins of greenwashing”, outlining strategies used to promote products that are not always sustainable: (a) imposing a “green” label by emphasising minor attributes of the product while neglecting significant environmental issues; (b) making environmental claims that cannot be easily verified; (c) using vague terms such as “green” or “100% natural”; (d) making environmental claims that are true but not relevant; (e) creating the impression of third-party certification and approval when none actually exists; (f) making true environmental claims within a product category while diverting attention from potentially more significant environmental impacts of that category; and (g) making false environmental claims.

While some companies create truly “green” products, as organisations, they engage in other operations that do nothing to improve environmental quality, such as nuclear power divisions or companies that oppose clean-up laws (^{Schreiber et al., 2023}). As highlighted by ^{Macêdo (2018}), companies may be making commitments without having any real intention of implementing social and environmental policies.

Greenwashing involves companies with subpar environmental performance presenting a positive, exaggerated image, magnifying their attributes to seem more significant than they truly are. This deceptive practice can severely erode the trust of consumers and investors who seek environmentally friendly products, even undermining the credibility of companies genuinely committed to environmentally friendly performance aligned with their marketing actions (^{Braga et al., 2019}). According to ^{Horiuchi et al. (2009}), the global non-profit organisation Business for Social Responsibility defines four types of greenwashing: (a) misguided greenwash: this category includes companies that are making substantial efforts to be more environmentally conscious, but their efforts are not very effective and they often use statements such as “environmentally friendly” in their communications; (b) unsubstantiated greenwash: this category includes companies that seem to be doing a commendable work and providing data to back up their claim, but a closer examination shows that the companies have not made the change for the environment, but for their own benefit; (c) greenwash noise: this category includes companies that claim to be “green” do not have much to back up this claim, and their are not compelling to consumers; and (d) effective environmental communication: this category alone represents the model for all organisations, as they do everything to improve environmental and social performance in different company functions and are able to communicate effectively.

To ensure coherence between discourse and actions, oversight organisations like CONAR should play a supervisory role, and consumers are encouraged to research companies to know what they are buying (^{Costa et al., 2017}). Providing misleading information that does not reflect reality can be deemed a crime against the consumer, subject to legal consequences (^{Braga et al., 2019}; ^{Ferreira et al., 2019}). Consumers have the right to verify that information corresponds to reality, making it the manufacturers’ responsibility to provide access to that information. Companies should refrain from offering statements such as “environmentally friendly” or “sustainable company” without giving specific details on why it is environmentally friendly and/or sustainable (^{Macêdo, 2018}).

In this scenario, a trustworthy brand conducts itself ethically toward its customers, who recognise and value this attitude. Thus, brands must communicate their actions clearly and promptly rectify any mistakes (^{Nygaard & Silkoset, 2023}; ^{Pancić et al., 2023}; ^{Tolentino et al., 2019}). As numerous products in the market fail to live up to their environmental commitments and lack transparency regarding their impacts, consumers are increasingly cognisant of the risks associated with greenwashing (^{Qayyum et al., 2023}).

^{Liu et al. (2023}), ^{Vangeli et al. (2023}), and ^{Pancić et al. (2023}) note a lack of consensus on the identification and measurement of greenwashing, with limited understanding of its impacts on product sales and corporate reputation. Table 1 provides a summary of the primary points analysed in this research.

Table 1 Primary concepts addressed 

Finally, there has been an exponential increase in statements about the environmental positioning of corporations, causing consumers to question the authenticity of such content. Verifying certain claims becomes challenging, particularly given the constant release of new products, advertisements, and initiatives under the “green flag”. These products often feature names, seals, and packaging that give the impression of aligning with the concept of “sustainability” but lack any tangible environmental benefits (^{Yu et al., 2020}).

4.1. Banco do Brasil S.A.

In The Global 100 ranking, Banco do Brasil, the only Brazilian company within the top 10, was recognised as the most sustainable financial institution in the world, achieving a performance score of 81.70%, as reported by the publication. This percentage is derived from evaluating various indicators throughout the process. These encompass energy usage, carbon emissions, water consumption, solid waste management, innovation capacity, tax payments, the ratio between the average worker’s salary and the CEO’s, the number of casualties, corporate pension plans and the percentage of women in management, among other criteria (^{Corporate Knights, 2022}).

This is the fourth time that Banco do Brasil has been listed among the world’s most sustainable institutions. The bank has committed significant resources, amounting to R$193,000,000,000, towards initiatives in the green economy. This investment includes funding for the Programa Água Brasil, a nearly decade-long partnership with the National Water Agency, the Banco do Brasil Foundation and WWF-Brazil. The institution aims to reduce its carbon footprint, enhance the use of resources and foster social inclusion policies (^{Meireles, 2019}; ^{Vangeli et al., 2023}; ^{Yu et al., 2020}).

^{Banco do Brasil (2022}) uses its annual report as a means of communicating to shareholders, investors, employees, clients, and representatives of Government and society about its business operations and their impact on the environmental and social spheres. The report, published electronically since 2010, adheres to the Global Reporting Initiative Standards and undergoes an audit by KPMG Auditores Independentes. The institution reported that its social actions have led to the social inclusion of communities. Particularly as a financial institution, Banco do Brasil implements initiatives such as micro-credit operations and the provision of rural credit, which promote social inclusion across all regions of Brazil. These endeavours align with one of the bank’s key objectives, which is to develop financial solutions and business models fostering the transition to a green and inclusive economy (^{Banco do Brasil, 2022}).

The environmental information disclosed by the institution is aligned with the Social and Environmental Responsibility Policy. The Environmental Management System adheres to the specifications outlined in the Brazilian Standard ABNT NBR ISO 14.001 of 2015. Banco do Brasil is committed to mitigating social and environmental risks and minimising the impacts of its funding and investments, as well as identifying new opportunities within sustainable businesses (^{Banco do Brasil, 2022}).

The Social and Environmental Responsibility Policy serves as a guiding framework for the institution’s conduct regarding social and environmental responsibility. Through the Plano de Sustentabilidade - Agenda 30 BB (Sustainability Plan - Agenda 30 BB) and in accordance with internal regulations, a strategic approach is formulated, addressing economic, social, and environmental variables by fostering the development of processes, products, and services (^{Banco do Brasil, 2022}).

Ethical actions that reflect credibility and soundness are deemed essential factors for a financial institution. Transparent conduct and adherence to laws and regulations by the organisation and its employees contribute to greater reliability and influence the satisfaction of customers and shareholders. Ethics management serves as a preventive measure against illegal activities, mitigating financial losses and minimising damages to the reputation as vulnerabilities in processes, systems, and people can pose risks and, consequently, generate losses for stakeholders (^{Banco do Brasil, 2022}).

Banco do Brasil reports its social and environmental performance to the Board of Directors annually. The content of this report is based on the results derived from sustainability market indices such as the Dow Jones sustainability index and the accountability of actions developed within the scope of the Plano de Sustentabilidade - Agenda 30 BB (^{Banco do Brasil, 2022}). Through an analysis of the data concerning the institution’s actions and initiatives, an examination was conducted to determine whether the criteria addressed confirm the “green” aspects of marketing or exhibit a tendency towards greenwashing.

The analysis of the actions in the social dimension, involving the communication of initiatives leading to the social inclusion of communities and highlighting institutional values supporting these actions, demonstrates adherence to the theoretical foundations of green marketing (^{Jabeen et al., 2023}; ^{Mehraj et al., 2023}; ^{Qayyum et al., 2023}). In the environmental dimension, where the focal point is the disclosure of information about institutional performance for verification, along with characteristics of actions implemented, services provided and institutional initiatives aligned with environmental principles, with emphasis on recycling, circular economy and low carbon, Banco do Brasil’s green marketing criteria were also met.

Based on the information extracted from the documents made available by ^{Banco do Brasil (2022}), it becomes evident that the institution adopts the practice of communicating its social initiatives, both in the traditional media and on social networks and its institutional website, shedding light on the impacts these actions generate, particularly concerning social inclusion (a component of the social dimension of sustainability). An excerpt from the document reads: “in 2022, the social investment made by Fundação BB totalled R$ 149.3 million. It concerned 256 projects supported and 1.7 million people served” (^{Banco do Brasil, 2022}, p. 10).

The same page also mentions the institution’s initiative to promote social inclusion: “we are the first bank in Brazil to provide extensive services in Libras, the Brazilian sign language. Since it was implemented in April 2022, we have recorded over 5,400 calls” (^{Banco do Brasil, 2022}, p. 10). The document also underscores the institution’s initiative to support female entrepreneurs:

in 2022 Banco do Brasil launched the web series named Imagina Sua Empresa, (Imagine your Company) featuring inspiring stories of female entrepreneurs backed by the Bank. Each episode posted on social media (YouTube, Instagram, Facebook and LinkedIn) features a customer sharing her entrepreneurship journey and the partnership she has with the Bank. ( ... ) In 2022, five episodes of the female entrepreneurship-focused web series were released, totaling overall over 38 million views. (p. 48)

With regard to the environmental dimension, it was noted that Banco do Brasil goes beyond mere communication of actions by providing substantiating evidence for the information reported to the public, making it possible to verify the integrity of the facts mentioned. On Page 99 of the Relatório Anual de 2022 (Annual Report 2022; ^{Banco do Brasil, 2022}), the institution demonstrates that the weight of non-hazardous waste sent for recycling increased from 2,689.50 tonnes in 2020 to 4,258.39 tonnes in 2021. The document also outlines the institution’s initiative called the “BB Zero Paper Programme”, with: “proper disposal of equipment, and job creation and income generation, and the highlight was the donation of recyclable waste to associations and cooperatives of collectors” (p. 107).

By presenting and elaborating on these and other initiatives and actions undertaken within the scope of the environmental dimension of sustainability, the institution demonstrates the relevance of these endeavours, encouraging, by way of example, other companies to engage in low-carbon activities. In this sense, the Relatório Anual de 2022 (^{Banco do Brasil, 2022}) accentuates key areas such as recycling, procurement of products from this process, reverse logistics, and, in the portfolio of financial products, those designed to stimulate environmental projects, reconfigure industrial operating plants to reduce environmental impact, the implementation of projects to mitigate environmental impact, adopting reduced banking spreads in sustainable operations.

As previously mentioned, Banco do Brasil makes both reports and evidence of reported actions available to the public, encompassing both the social and environmental dimensions. This transparency allows for verification of the accuracy of the expenditures and the number of individuals benefiting from these actions through other publicly available sources. An analysis of the reports for 2019 and 2022 reveals the institution’s success in the listed actions and initiatives, earning recognition through national and international awards. This recognition has contributed to Banco do Brasil’s upward repositioning in the ranking, moving from the 8th to the 3rd position.

Drawing upon evidence gleaned from secondary sources and data provided by the mentioned institution, it was possible to demonstrate that the process of communicating actions to the market does not constitute greenwashing. The company does not fulfil any criteria indicative of this practice. The actions and initiatives communicated align with green marketing criteria (^{Alkhatib et al., 2023}; ^{Liu et al., 2023}; ^{Pancić et al., 2023}; ^{Qayyum et al., 2023}; ^{Vangeli et al., 2023}).

4.2. Natura & Co.

Natura is a publicly traded company listed on the São Paulo stock exchange, aligning its operations with the 2050 sustainability vision. The company actively supports initiatives such as the Partners for the Amazon and AmazôniaUp platforms, which are dedicated to promoting entrepreneurship in sustainable agroforestry businesses. Drawing on insights from the Carbon Neutral Programme, the organisation has also established a collaborative platform aimed at attracting companies interested in offsetting greenhouse gas emissions from their activities. Additionally, Natura promotes dialogue with other organisations on the subject of female empowerment (^{Calache, 2022}).

Natura ranked 42nd with a performance score of 67.90% in The Global 100 (^{Corporate Knights, 2022}). The Natura & Co. group, of which Natura is a part, also owns Aesop, The Body Shop and Avon (acquired in 2012, 2017 and 2019 respectively). Natura has 6,600 employees and operates in Brazil, Argentina, Chile, Colombia, the United States, France, Mexico and Peru. Additionally, it maintains a distributor in Bolivia (^{Calache, 2022}).

Recognised as the largest Brazilian multinational in the cosmetics sector, Natura is recognised for aligning its discourse with a multitude of positive initiatives. Serving as a benchmark for all Brazilian companies, Natura has garnered recognition for its waste management practices, pension fund status, and the representation of female executives (^{Corporate Knights, 2022}). In 2018, besides securing a commendable position in the Corporate Knights ranking, the global organisation Etisphere Institute, dedicated to enhancing business practices, also selected Natura as one of the world’s most ethical companies for the sixth consecutive year (^{Calache, 2022}).

In the same year, Natura was awarded the seal of the Union for Ethical BioTrade, an international non-profit organisation focusing on fair trade, the preservation of Brazilian biodiversity and a trustworthy relationship with the community. This seal affirms that all plant ingredients in Ekos products have undergone an assessment of the Union for Ethical BioTrade’s ethical bio-trade principles. These principles include practices ensuring the preservation of ecosystems, equitable sharing of benefits derived from the use of biodiversity, respect for associated traditional knowledge, and adherence to fair working conditions (^{Calache, 2022}).

Natura ceased animal testing in 2006 and is certified by Cruelty Free International, an organisation dedicated to ending such testing. Approximately 1,000 companies globally have Cruelty Free International’s The Leaping Bunny label. It was awarded to Natura in September 2018, making it the first company in Brazil to receive this certification and the second within the Natura & Co. group.

As of 2014, Natura has held the B Corp certificate, which integrates the company into a global network promoting economic growth while adhering to criteria for social and environmental well-being. The certification, renewed in May 2017, underscores the company’s commitment to sustainable development. Originating in the United States in 2006 under the leadership of B Lab, a non-profit organisation, the B Corp movement unites companies that believe in the possibility of fostering social, environmental and economic development through products, practices and governance. Receiving the B Corp seal and being part of the B Corp movement involves a stringent certification process, requiring a minimum score of 80 out of 200 points (^{Calache, 2022}).

Natura holds the Pro-Ethics Company seal, awarded by the Office of the Comptroller General and the Ethos Institute, which recognises its dedication to establishing ethical and transparent business practices across its chain. In addition, it was ranked among the most ethical companies in the world for the eighth consecutive year by the Ethisphere Institute, a global authority in defining and developing standards for business ethics. Additionally, Natura is a signatory of the Ethos Institute’s Business Pact for Integrity and Against Corruption (^{Calache, 2022}).

Based on the data pertaining to the actions and initiatives promoted by Natura, as presented in the Relatório Integrado Natura & Co. América Latina 2022 (2022 Natura & Co. Latin America Integrated Report; ^{Calache, 2022}), made available by the company, as well as the sustainability reports and supporting documents, in the form of appendices and annexes, were analysed in the light of structuring concepts of green marketing, as a dominant paradigm. In the social dimension, Natura showcases initiatives leading to the social inclusion of communities and provides accessible data and information about its social actions. In the report, the company highlights

Palm AFS, the first palm oil cultivation agroforestry system in the world. Led by Natura since 2008, in partnership with Embrapa and the Camta cooperative (Cooperativa Agrícola Mista de Tomé-Açu), the AFS cultivates palm oil sustainably in Pará, reproducing its original environment in the forest through the association of diverse plants in the production system. The cultivation practices in the areas are based on agroecological stewardship, without using crop defence products, to promote the regeneration of the local ecosystem and capture carbon from the atmosphere. (^{Calache, 2022}, p. 86)

In the environmental dimension, the company is recognised for its transparency, presenting comprehensive data on its environmental performance, allowing for verification of its accuracy, including environmental investments such as reverse logistics, recycling and reuse, sustainable products and packaging, as well as the growing use of renewable energies. Notably, the report highlights the “PlenaMata platform, created by Natura in partnership with Mapbiomas, InfoAmazonia and Hacklab. This presents scientific data, qualified information and disseminates data on deforestation with the purpose of sensitising and mobilising people around the need to conserve the Amazon” (^{Calache, 2022}, p. 76).

The content of the documents of the second company analysed, Natura & Co., demonstrates that sustainability has become one of the primary strategic orientations guiding both its operations and communication with the market. The company recognises that the consumer market it caters to is sensitised to sustainability and considers it a determining criterion in choosing products and services. Furthermore, other stakeholders, as well as institutional partners, share a similar interest in implementing the greatest number of actions aligned with the dimensions of sustainability, notably the social and environmental dimensions.

When analysing the reports for 2019, before the COVID-19 pandemic, and 2022, one can see that Natura Co. has added actions and initiatives, particularly climate action, which includes the company’s commitment and actions to tackle climate change and its impacts; the regeneration of nature, which aims to protect, restore and promote the sustainable use of ecosystems; and the distribution of value, which consists of making efforts to reduce inequalities within and between the countries where the company operates. The three themes are set out in the Global Reporting Initiative 3-2 and have been highlighted in particular over the last five years (^{Jabeen et al., 2023}).

The reports and supporting documents provided by Natura provide a comprehensive view of the real dimension of their social initiatives, showcasing clear social inclusion of people from the communities where their funded projects are implemented. In the environmental dimension, Natura directly promotes various projects, with significant repercussions, at the national and international levels (considering its operations in other countries through its subsidiaries), either through direct implementation or financing and co-financing of environmental initiatives. The facets of the actions undertaken, both in the social and environmental dimensions, are incompatible with greenwashing, as defined in the scientific literature reviewed (^{Nygaard & Silkoset, 2023}; ^{Vangeli et al., 2023}; ^{Yu et al., 2020}).

The actions and initiatives communicated by Natura & Co. align with the criteria of green marketing, satisfying all its requirements. It is worth highlighting the relevance of the data extracted from the reports, which emphasise the social dimension in the context of sustainability as an integral and inseparable aspect of organisational strategies that confirm alignment with the principles of green marketing, as emphasised by ^{Vangeli et al. (2023}), ^{Braga et al. (2019}) and ^{Pancić et al. (2023}). Therefore, it is possible to assert that the analysis of communicated sustainable actions does not suggest any tendency towards greenwashing, as the company does not meet any criteria indicative of such practices (^{Alkhatib et al., 2023}; ^{Liu et al., 2023}; ^{Pancić et al., 2023}).

It is worth noting that this research relies on data provided in the annual reports published by both companies (^{Banco do Brasil, 2022}; ^{Calache, 2022}). As these reports undergo auditing before publication, it is inferred that the presented data and information accurately represent reality. This aligns with the recommendations in the literature reviewed, highlighting transparency as a fundamental attribute in the context of green marketing (^{Alshurideh, 2016}; ^{Tolentino et al., 2019}).

To distinguish green marketing from greenwashing, it becomes imperative to assess whether companies maintain transparency and coherence between their statements and actions. Additionally, it is crucial to verify whether they have recognised environmental certifications and whether they adhere to current standards and legislation. After all, greenwashing can have adverse consequences for companies, including loss of credibility, financial penalties and damage to their corporate image.